80% Of Goldman growth will arise from BRIC nations

Lloyd Blankfein, chairman of Goldman Sachs stated, "80% of the growth of our business is going to come from high-growth areas identified as BRICs. Our footprint will correlate with the ring of growth in various places around the world, providing they have good open markets.”

Blankfein went on to detail that short term problems were affecting many of the BRIC countries with lower than normal growth in Brazil and China and the investment rating cut for India. Russia may be affected indirectly by problems in the world market through lower requirements of oil and gas. These were however temporary phenomenon mainly caused by the Euro debt crisis.

It was Jim O'Neill from Goldman Sachs who first identified the importance of the four BRIC nations and gave them the 'BRIC' group name. Subsequently he has gone on to identify the 'Growth 8', the BRIC nations plus Indonesia, Vietnam, Mexico & Turkey. Speaking in 2011 O'Neill forecast the BRIC nations would increase GDP by around $12tr in the current decade compared with under $5tr for the US and Europe combined. Indonesia, Vietnam, Mexico & Turkey combined GDP is expected to grow $4tr.